Baker Hughes books loss in first report following GE merger
Oilfield services provider Baker Hughes, a GE company (BHGE), posted a loss for the third quarter 2017 despite seeing an increase in orders.
This is BHGE’s first quarterly report following the closure of the previously announced combination of Baker Hughes with General Electric’s oil & gas business, GE Oil & Gas, on July 3, 2017.
According to the new company’s report on Friday, during the third quarter 2017, BHGE’s orders totaled $5.7 billion, which is up 2% sequentially and up 18% year-over-year on a combined business basis.
The company’s revenues for the third quarter 2017 amounted to $5.4 billion, down 1% sequentially and flat year-over-year on a combined business basis.
Further, BHGE’s GAAP operating loss was $122 million for the quarter, a decrease of 17% sequentially and 22% year-over-year on a combined business basis.
BGHE’s net loss for the third quarter 2017 was $104 million but the company did not provide a comparable year-ago number.
Lorenzo Simonelli, BHGE chairman and chief executive officer, said: “Despite the continuing challenging environment, we delivered solid orders growth and secured important wins from customers, advanced existing projects and enhanced our technology offerings in the quarter.”
Regarding the merger of Baker Hughes and GE Oil & Gas, Simonelli said: “I am now more convinced than ever that we combined the right companies at the right time.”
Offshore Energy Today Staff